Essential Information about Durable Power of Attorney A durable power of attorney is a practical option for an elderly who wants to plan how his or her properties, business, and other affairs will be managed when time comes he or she is mentally unable to do so. It is especially useful for people who are suffering from a debilitating health condition such as Alzheimer s disease or are going to stay in a nursing home. That is why many people choose to appoint their spouses or relatives as agents. But there are still issues and conflicts arising in such situations. How could you make sure your agent would be using the authority well? First, you should appoint a person who you have already proven to be trustworthy and reliable. You have to decide one or more of the following tasks that your attorney-in-fact will carry out on your behalf from time to time: manage your properties preparing and filing income tax returns making decisions regarding health care do transactions at the bank and pay your bills handle your retirement and insurance benefits collect your social security benefits handle your legal claims You have two options when deciding how much authority you are going to allow to your agent. This is very sensitive because the grantee will have the power to allow or disallow health care and will even be able to decide if hospitals will pull the plug in case the principal falls into a coma. There is also what they call the Psychiatric Advance Directives, which gives the grantee the right to decide for the care and treatment of someone who is mentally ill. A principal must of course be of a good mental state when giving the power of attorney. Principals who are physically injured, sick or mentally unhealthy are deemed incapable of giving power of attorneys. When power of attorneys are given under these circumstances, all the legal documents the agent signs or agrees to will not be honored in court and will be deemed ineffective. However, before you can fully understand its importance, it is best to know its purpose first. In general, the goal for creating a POA is to protect your interests and manage your estates when you have reached a point when you can no longer do them on your own. Convenience is one of the advantages of having a power-of-attorney document.